trending Market Intelligence /marketintelligence/en/news-insights/trending/DlmK1O_3X_Bt3swvETUuhQ2 content esgSubNav
In This List

STR: London, Berlin hotels post strong performance in May


Japan M&A By the Numbers: Q4 2023

Case Study

An Investment Bank Taps S&P's Real Estate Modeling Expertise


FIMA EUROPE 2023: Exploring the Intersection of Data, Governance, and Future Trends in Finance


Private Markets 360° | Episode 8: Powering the Global Private Markets (with Adam Kansler of S&P Global Market Intelligence)

STR: London, Berlin hotels post strong performance in May

STR reported highest-ever revenue per available room, or RevPAR, in London hotels, while Berlin hotels registered the second-highest occupancy rate for any month of May on record.

In London, RevPAR rose year over year by 8.9% to £127.24, while supply and demand also increased in comparison with May 2016 data by 3.2% and 5.0%, respectively.

The rate of occupancy in the reporting month reached 83.1%, up 1.7% year over year. STR analysts highlighted that during May, absolute occupancy rate reached 90% or higher nine times, including May 3 to May 4, May 17 to May 18, and May 22 to May 24, when the Security and Counter Terror Expo, the Museums Heritage Show and the London Wine Fair were being conducted, respectively.

Moreover, the growth corresponds with a 7.0% hike in average daily rate, or ADR, to £153.04, compared with the year-ago period.

STR analysts credited strong hotel performance in London to pound devaluation and a subsequent boost in leisure business. They further noted that although it is early to analyse any potential impact of the recent London Bridge tragedy, the hotel business maintained growth despite the Westminster and Manchester terror attacks.

Over in Berlin, May occupancy levels reached 81.4%, logging a 2.1% year-over-year hike. The city witnessed 11 days of occupancy above 90% during the month.

Year-over-year increases of 1.0% in supply and 3.1% in demand were also recorded. STR analysts noted Re:Publica, a digital culture conference, held May 8 to May 10; the Deutscher Evangelischer Kirchentag held May 24 to May 28; and DFB-Pokal, the German football final, held May 27, as contributors of demand.

RevPAR in the German city saw an 8.1% year-over-year boost to €85.79, while ADR jumped 5.8% to €105.41.